Which of the Following Is True Regarding an Indorser's Liability

question 29

Multiple Choice

Which of the following is true regarding an indorser's liability on a note?

• A)A holder can proceed directly against the indorser without first presenting the note to the maker.
• B)A qualified indorsement by the indorser will not disclaim liability against a holder who takes it in good faith and for value.
• C)For the indorser to be liable,there must be presentment to the maker,dishonor by the maker,and notice to the indorser.
• D)For the indorser to be liable,there need only be presentment to the maker and dishonor by the maker.

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Definitions:

Utility Function

A mathematical representation of a consumer's preference ranking over a set of goods and services.

Substitution Effect

Variations in consumer purchasing patterns as a result of shifting prices among products, which leads to the exchange of one good for another.

Apple Consumption

Refers to the quantity of apples eaten or utilized over a specified period of time.

Substitution Effect

refers to the change in consumption patterns due to a change in relative prices, leading consumers to substitute more expensive goods with cheaper alternatives.